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2 years ago

A firm's ________ is the level of sales necessary to cover all operating costs, i.e., the point at which ebit equals zero.

Business

1 answer:

Mnenie [13.5K]2 years ago

7 0

A firm's operating breakeven point is the level of sales necessary to cover all operating costs.

More about operating breakeven point:

The point at which sales revenue equals all fixed and variable costs while producing no profit for the company is known as the operating breakeven point. A fixed cost is a cost that a company incurs regardless of how many units are produced.

Fixed costs include things like rent, insurance, and interest payments. On the other hand, a variable cost is a cost that varies according on the amount of output. Variable expenses include, for example, labor and raw materials.

Learn more about operating breakeven point here:

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Complete Question:

A firm's ________ is the level of sales necessary to cover all operating costs, i.e., the point at which EBIT equals zero.

A) cash breakeven point

B) financial breakeven point

C) operating breakeven point

D) total breakeven point

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Suppose that three firms make up the entire wig manufacturing industry. One has a 60% market share, and the other two have a 20%

mr_godi [17]

Answer:

4400

Increase

c. An index of 10,000 corresponds to a monopoly firm with 100% market share

Explanation:

Here are the options to the last question

Why is the largest possible value of the Herfindahl index 10,000 ?

a. An index of 10,000 corresponds to 100 firms with a 1% market share each

b. An industry with an index higher than 10,000 is automatically regulated by the Justice Department

c. An index of 10,000 corresponds to a monopoly firm with 100% market share

HHI index = 60² + 20² + 20² = 4400

If one of the firms leaves the industry, the market share would be distributed between the two firms and this would cause the HHI index to increase as firm's concentration would increase

If only one firm operates in the industry, its market share would be 100% and its HHI index would be 100² = 10,000. For an industry to exist there has to be at least one firm operating in the industry,

7 0

2 years ago

Jeremy is working on a spreadsheet which part of the information processing cycle will justify Jeremy’s use of the spreadsheet a

ycow [4]

Answer:

ill answer shortly just leaving it here os i dont forget about it

Explanation:

5 0

3 years ago

Match each stage in the policy process with its description.a. agenda settingmany different groups will come up with plans to fi

morpeh [17]

A) Agenda Setting: In Agenda setting, a policy formulation problem is recognized. It is then moved to a list of things to do within government.
B) Policy Formulation: Different groups will brainstorm plans to fix the problem.
C) Policy Adopting: At this stage government will adopt the policy, that will be address the problem.
D) Policy evaluation: Government and the general public are given the policy, they review it. It is then that they decide if it should be continued, altered, or cancelled.

4 0

3 years ago

The Raven Co. has just gone public. Under a firm commitment agreement, Raven received $15.90 for each of the 25 million shares s

Studentka2010 [4]

Answer:

22.38%

Explanation:

Raven corporation has just gone public

They received $15.90 for each 25 million shares that was sold

The first step is to calculate the net amount raised

Net amount that was raised= 15.90×25,000,000 = 397,500,000

397,500,000-860,000-330,000

= 396,310,000

Underwriter spread= 17.50-15.90

= 1.6 per shares

Total underwriter spread= per share spread× number of shares that were offered

= 1.6×25,000,000

= 40,000,000

Total direct costs= 40,000,000+860,000

=40,860,000

Indirect flotation cost= indirect cost+price appreciation

= 330,000+(19.40-17.50)×25,000,000

= 330,000+1.9×25,000,000

=330,000+47,500,000

= 47,830,000

Total flotation cost= 47,830,000+40,860,000

= 88,690,000

Therefore, the flotation cost as a percentage of funds raised can be calculated as follows

= 88,690,000/396,310,000 × 100

= 0.2238×100

= 22.38%

Hence the flotation costs as a percentage of funds raised is 22.38%

3 0

3 years ago

Many cities in southeast Michigan are struggling with financial problems due to current economic conditions. At the same time, s

asambeis [7]

The best and most correct answer among the choices provided by the question is the third choice. The direct result of the problems is that less city workers to plow the streets causing an increase in the number of car accidents during the winter months. I hope my answer has come to your help. God bless and have a nice day ahead!

3 0

3 years ago